MARINE DISCHARGE CONSENT APPLICATION ‐ DECK DRAINAGE Taranaki Basin Prepared for: OMV New Zealand Limited The Majestic Centre Level 20, 100 Willis Street PO Box 2621, Wellington 6015 New Zealand SLR Ref: 740.10078.00000 Version No: ‐v1.0 March 2018 OMV New Zealand Limited SLR Ref No: 740.10078.00000‐R01 Marine Discharge Consent Application ‐ Deck Drainage Filename: 740.10078.00000‐R01‐v1.0 Marine Discharge Consent Taranaki Basin 20180326 (FINAL).docx March 2018 PREPARED BY SLR Consulting NZ Limited Company Number 2443058 5 Duncan Street Port Nelson 7010, Nelson New Zealand T: +64 274 898 628 E: [email protected] www.slrconsulting.com BASIS OF REPORT This report has been prepared by SLR Consulting NZ Limited with all reasonable skill, care and diligence, and taking account of the timescale and resources allocated to it by agreement with OMV New Zealand Limited. Information reported herein is based on the interpretation of data collected, which has been accepted in good faith as being accurate and valid. This report is for the exclusive use of OMV New Zealand Limited. No warranties or guarantees are expressed or should be inferred by any third parties. This report may not be relied upon by other parties without written consent from SLR SLR disclaims any responsibility to the Client and others in respect of any matters outside the agreed scope of the work. DOCUMENT CONTROL Reference Date Prepared Checked Authorised 740.10078.00000‐R01‐v1.0 26 March 2018 SLR Consulting NZ Ltd Dan Govier Dan Govier 740.10078.00000‐R01‐v1.0 Marine Discharge Consent 20180326 (FINAL).docx Page 2 OMV New Zealand Limited SLR Ref No: 740.10078.00000‐R01 Marine Discharge Consent Application ‐ Deck Drainage Filename: 740.10078.00000‐R01‐v1.0 Marine Discharge Consent Taranaki Basin 20180326 (FINAL).docx March 2018 EXECUTIVE SUMMARY OMV New Zealand Limited (OMV New Zealand) is applying for a Marine Discharge Consent (hereafter referred to as a Discharge Consent) under Section 38 of the Exclusive Economic Zone and Continental Shelf (Environmental Effects) Act 2012 (EEZ Act). This Discharge Consent is to permit the discharge of trace amounts of harmful substances from the deck drains of a Mobile Offshore Drilling Unit (MODU) associated with an Exploration and Appraisal Drilling (EAD) Programme. This discharge is the activity that is the subject of this application. No other activities are the subject of this application. The EAD Programme includes the drilling of up to nine exploration wells and three appraisal wells within OMV New Zealand’s permit areas. These wells are located within the Taranaki Basin and are anticipated to commence in 2019. Drilling will be completed as a part of one or more drilling campaigns over the duration of the relevant exploration permits. This could be as late as end of 2025. The EAD Programme in the Taranaki Basin will require a number of approvals under the EEZ Act. Applications for these approvals in relation to the EAD Programme will be lodged with the Environmental Protection Authority (EPA) in the future. All of the activities that will be the subject of the other applications are outside the scope of the consent sought in this application. As such, the scope of matters that have been assessed is confined to matters which are directly relevant to the activity for which consent is sought. It is also reflected in the draft conditions which have been prepared and which are attached at Appendix A. The scope of the application will also be relevant to the matters that can be raised by submitters and considered by the decision maker for this marine consent. An Environmental Risk Assessment (ERA) has been undertaken as part of this Impact Assessment (IA) to identify the relative significance of the potential effects from the discharge of trace amounts of harmful substance from the deck drains of a MODU. When considering the effects on the environment from the proposed discharge the following conclusions are made: 1. The mitigation measures in place on the MODU will ensure that the probability of a loss of containment of a harmful substance to deck is As Low As Reasonably Practicable (ALARP); 2. If a loss of containment of harmful substance to deck occurs, there will only be trace amounts left following clean up; 3. Should any trace amounts of harmful substances make it into the deck drainage system, the concentrations of harmful substance within the product will be diluted in the settling tank. Upon discharge to the marine environment, the harmful substance would be further diluted, to the extent that ecotoxicity risk to the marine environment is negligible; 4. The discharges of trace amounts of harmful substances will be immeasurable in the receiving water well within the 200 m zone of influence due to the low volume of harmful substance and the high energy Taranaki marine environment; and 5. Discharges of trace amounts of harmful substances from deck drainage to the marine environment will be at most intermittent. The risk to receptors, and the effects on the environment and existing interests, from the discharge of trace amounts of harmful substances from deck drainage is negligible. This application has addressed the matters set out in sections 39, 59, 60 and 61 of the EEZ Act as summarised in Table 1 to Table 4. 740.10078.00000‐R01‐v1.0 Marine Discharge Consent 20180326 (FINAL).docx Page 3 OMV New Zealand Limited SLR Ref No: 740.10078.00000‐R01 Marine Discharge Consent Application ‐ Deck Drainage Filename: 740.10078.00000‐R01‐v1.0 Marine Discharge Consent 20180326 (FINAL).docx Taranaki Basin March 2018 EXECUTIVE SUMMARY Table 1 S39 Legislative Requirements Section 39 of the EEZ Act How this Requirement is Met (1) An impact assessment must – (1)(a) – describe the activity (or activities) for This application seeks Discharge Consent to discharge trace amounts of harmful substances from the deck which consent is sought; and drains of a MODU which will be utilised during the EAD Programme. This activity is classified as a discretionary activity under regulation 16(1) of the D&D Regulations. A full description of the activity is included within Section 3. (1)(b) – describe the current state of the area The proposed EAD Programme will be undertaken within the Taranaki Basin. Three Areas of Interest (AOI) where it is proposed that the activity will be have been identified (north, central and south) which encapsulates the well locations and has been used to undertaken and the environment surrounding the focus the study area. Section 5 contains a detailed description of the current state of the area within the three area; and AOIs and the surrounding environments. (1)(c) – identify persons whose existing interests When identifying persons whose existing interests are likely to be adversely affected by this Discharge Consent are likely to be adversely affected by the activity; application the physical extent of the potential effects from the activity have been considered (Section 4.1). and (1)(d) – identify the effects of the activity on the An ERA, (Section 7), has been undertaken as part of this IA to identify the effects of the activity on the environment and existing interests (including environment and existing interests. The conclusion of the ERA is that the risks to receptors, and hence effects cumulative effects and effects that may occur in on the environment and existing interests, from the discharge of trace amounts of harmful substances from New Zealand or in the sea above or beyond the deck drainage are negligible. continental shelf beyond the outer limits of the Exclusive Economic Zone); and (1)(e) – identify the effects of the activity on the The ERA contained within Section 7 of this IA has been split into the various sections, including Section 7.2.1 biological diversity and integrity of marine species, (Physical Environment), Section 7.2.2 (Biological Environment) and Section 7.2.3 (Marine Conservation and ecosystems, and processes; and Sensitive Sites). The overall conclusion of the ERA is that the risks to the receptors from the discharge of trace amounts of harmful substances from deck drainage are negligible. As such, there are no adverse effects of the activity on section 39(1)(e) matters. (1)(f) – identify the effects of the activity on rare An associated assessment on these receptors is contained within Sections 7.2.1, 7.2.2 and 7.2.3. The overall and vulnerable ecosystems and habitats of conclusion of the ERA is that the risk from the discharge of trace amounts of harmful substances is negligible, threatened species; and as are the effects on relevant resources. 740.10078.00000‐R01‐v1.0 Marine Discharge Consent 20180326 (FINAL).docx Page 4 OMV New Zealand Limited SLR Ref No: 740.10078.00000‐R01 Marine Discharge Consent Application ‐ Deck Drainage Filename: 740.10078.00000‐R01‐v1.0 Marine Discharge Consent 20180326 (FINAL).docx Taranaki Basin March 2018 EXECUTIVE SUMMARY Section 39 of the EEZ Act How this Requirement is Met (1)(g) – describe any consultation undertaken with OMV New Zealand has undertaken an engagement process with a number of groups during 2017 and 2018, persons described in paragraph (c) and specify including iwi that hold special interest and cultural significance in this offshore area Section 4. those persons who have given written approval to No persons have provided written approvals at the time of lodgement of this Discharge Consent application. the activity; and (1)(h) – include copies of any written approvals to As described above, no written approvals have been obtained at the time of lodgement of this application. the activity; and (1)(i) – specify any possible alternative locations There are no alternative locations that this activity could occur as the activity will be limited to where the for, or methods for undertaking, the activity that MODU is located, which is limited by the location of potential hydrocarbons.